Indonesia: "This country has major potential"

May 24, 2017 01:19 PMNewsroom

Biazzi S.A. has been developing technologies and systems for the chemical industry for more than 80 years. Based in Blonay bei Montreux, the company is globally active and has delivered more than 400 systems to date.

Biazzi manufacturing facility

The majority of explosives manufacturers put their trust in Biazzi systems. Alongside explosives technology, Biazzi also handles processes (nitriding and hydrogenation processes) that are required for the production of polyurethane. The company's third mainstay is developing processes for the manufacture of chemical products, such as the sweetener sorbitol. Global players including AirProducts/Evonik, ChemChina and Nippon Polyurethane rely on these processes. It was strategic considerations that led the company to make the move to Indonesia. "We're convinced that this country has major potential," says Bruno Tettamanti,Head Marketing & Sales.

A difficult market for exporters

It isn't easy to do business in Indonesia. Bureaucracy, constantly changing legal provisions, a shaky economy and strong competition keep many exporting companies from putting down roots in Southeast Asia's largest country. Biazzi, however, has not let these things get in its way. And Tettamanti is confident:

The country has a large population and the national economy has an enormous backlog in demand. Our systems and technologies are helping the domestic industry to catch up, which will in turn help it to become more independent.

Not your typical export country, but still tremendous potential

Compared to countries like Malaysia, Thailand and Vietnam, Indonesia is not a traditional export country. It lacks a broad industrial base. The archipelago nation earns money primarily from its mineral deposits and its domestic market; it has done relatively little manufacturing to date. Foreign companies often complain of insufficient legal security. But things are moving forward: The interest rates are falling, the rupiah has stabilized and companies are investing again. The current government is making great effortsto change course. Massive infrastructure projects are being launched to boost growth.

Detailed market study to lay the groundwork for market entry

In order to avoid any nasty surprises, the Vaud-based techology company did a detailed market study before moving into Indonesia. More in-depth data was then collected with the help of S-GE and the experts at Swiss Business Hub ASEAN in Singapore. Tettamanti says of the process: "S-GE provided us with a list of 20 potential representatives for our company in Indonesia. We are currently cooperating with a partner. And the process of developing and expanding our customer network is in full swing."

Biazzi S.A. knew from the beginning that they could rely on S-GE.

We had good experiences working with S-GE in the USA and Singapore and the project in Indonesia confirms their reliability. We trust these experts. We feel that working with S-GE is like having a government guarantee.